Judge Denies Request to Block Paramount-Skydance Merger, Expedites Shareholder Lawsuit

A judge in Delaware Chancery Court calls for the case to be completed before FCC review of the merger finishes in early April

Shari Redstone attends Paramount Pictures & DreamWorks Pictures host the premiere of "Ghost in the Shell" at AMC Lincoln Square Theater on March 29, 2017 in New York City.
Shari Redstone attends Paramount Pictures & DreamWorks Pictures host the premiere of "Ghost in the Shell" (Credit: Jared Siskin/Patrick McMullan via Getty Images)

A judge in Delaware Chancery Court denied a request on Thursday by Paramount Global shareholders to issue a temporary restraining order against the company’s potential merger with Skydance Media but has agreed to expedite the shareholders’ lawsuit so it is completed before FCC review of the merger is completed.

The lawsuit, which was filed by a group of New York City pension funds for firefighters, police officers and teachers, accuses Paramount of breach of fiduciary duty. Plaintiffs claim that a special committee formed by Paramount declined to consider an $8.8 billion all-cash offer from a consortium called Project Rise Partners, and sought the restraining order to allow the group to make their offer.

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